MBA 8452 Systems and Operations Management
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MBA 8452 Systems and Operations Management. Quality Management. Introduction to Operations Management/ Operations Strategy. Process Control and Improvement. Process Analysis and Design. Project Management. Planning for Production. Quality Management. Process Analysis.

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Mba 8452 systems and operations management

MBA 8452 Systems and Operations Management

Quality Management


Mba 8452 systems and operations management

Introduction to Operations Management/ Operations Strategy

Process Control

and Improvement

Process Analysis

and Design

Project

Management

Planning for Production

Quality

Management

Process Analysis

Capacity Management

Aggregate Planning

Job Design

Statistical

Process Control

Just in Time

Scheduling

Manufacturing

Layout/

Assembly Line Balancing

Inventory Control

Supply Chain

Management

Services

Waiting Line Analysis


Objective quality management

Objective: Quality Management

  • Be able to Define TQM

    • Two Types of Quality

    • What is meant by Customer Driven Definition of Quality?

  • Explain the Quality Awards/Certifications

    • Be able to describe the Quality Awards and Certifications

  • Apply the Quality Problem Solving Tools

    • Be able to identify and use the problem solving tools for quality management


What is quality

What Is Quality?

  • A degree or level of excellence

    (Oxford American Dictionary)

  • The totality of features and characteristics that satisfies given needs

    (ANSI and ASQC “official” definition)

  • Fitness for use

    (Joseph Jurn’s definition)


What is quality design conformance quality

What Is Quality?Design & Conformance Quality

  • Quality of Design

    • the degree to which quality characteristics are purposely designed into the product or service

  • Quality of Conformance

    • the degree to which the product or service design specifications are met


What is quality dimensions of product quality

What Is Quality?Dimensions of Product Quality

  • Performance (basic operating characteristics)

  • Features (extra items added)

  • Reliability (likelihood that product will perform normally over time)

  • Conformance (meeting pre-specified standards)

  • Durability (useful life span)

  • Serviceability (ease of repair)

  • Aesthetics (sensory characteristics)

  • Perception (perceived quality)


What is quality dimensions of service quality

What Is Quality?Dimensions of Service Quality

  • Time & Timeliness (waiting time, on time service)

  • Completeness (customer gets all they asked for)

  • Courtesy (treatment by employees)

  • Consistency (same level of service for all)

  • Accessibility (ease of obtaining service)

  • Accuracy (performed right every time)

  • Responsiveness (reactions to unusual situations)


Cost of quality

Cost of Quality

  • Cost of achieving good quality

    • Prevention (quality planning and training, identify and removing poor quality source)

    • Appraisal (inspection, testing)

  • Cost of poor quality

    • Internal failure costs (scrap, rework, repair)

    • External failure costs (returned products, warranty charges, complaints, liability)


Total quality management tqm

Total Quality Management (TQM)

  • Management of the entire organization so that it excels on all dimensions of products and services that are important to the customer


Total quality management elements

Total Quality Management Elements

1. Customer-driven quality

2. Top management leadership

3. Quality as a strategic issue

4. All employees responsible for quality

5. Continuous improvement (CI)

6. Shared problem solving

7. Statistical quality control (SQC)

8. Training & education for all employees


Total quality management deming s 14 points

Total Quality ManagementDeming’s 14 Points

  • Create a constancyofpurpose toward improvement of product and service with a plan to be competitive, stay in business, and provide jobs.

  • Adopt the new philosophy of preventing poor-quality products instead of acceptable levels of poor quality.

  • Cease dependence on mass inspection to achieve quality, instead using statistical evidence that quality is being built into the product.

  • Select a few suppliers or vendors based on quality commitment rather than competitive prices.

  • Constantly improve the system of production and service, thus increasing productivity and reducing costs.

  • Institute modern methods of training, including statistical techniques and thinking.

  • Instill leadership among supervisors to help workers perform better.


Total quality management deming s 14 points1

Total Quality ManagementDeming’s 14 Points

  • Driving out fear from the workforce by encouraging employee involvement so that everyone may work effectively for the company.

  • Break down barriers between departments, and promote teamwork.

  • Eliminate slogans and numerical targets that urge workers to achieve higher performance levels without first showing them how to do it.

  • Eliminate numerical quotas that employees attempt to meet at any cost without regard for quality.

  • Promote worker pride by improving supervision and the production process so that workers can perform to their capabilities.

  • Institute vigorous education and training programs in methods of quality improvement throughout the organization, from top management down, so that continuous improvement can occur.

  • Develop a commitment from top management to implement the previous thirteen points.


Continuous improvement p d c a cycle deming wheel

Plan

Do

Act

Check

Continuous Improvement:P-D-C-A Cycle (Deming Wheel)

Identify problem and develop plan for improvement

Institutionalize

improvement

Implement plan

on test basis

Assess the plan: Is the plan working?


Continuous improvement benchmarking

Continuous Improvement:Benchmarking

  • Process of measuring and improving a firm’s performance by learning from the best practices

    • identify processes needing improvement

    • identify the best practices or leaders

    • contact, visit, and study the benchmark organization

    • analyze data

    • take action


Continuous improvement seven quality control tools

Continuous Improvement:Seven Quality Control Tools

1. Pareto analysis

2. Process flowcharts

3. Check sheets

4. Histograms

5. Scatter diagrams

6. Control charts

7. Cause & effect diagrams


Mba 8452 systems and operations management

70

(64)

60

50

40

Percent from each cause

30

20

(13)

(10)

10

(6)

(3)

(2)

(2)

0

Poor Design

Defective parts

Operator errors

Machine calibrations

Defective materials

Surface abrasions

Wrong dimensions

Causes of poor quality

Pareto Analysis

80% of the problems can often be attributed to 20% of the

causes.


Process flowcharts

Process Flowcharts

Identify the

potential fail points


Check sheet

COMPONENTS REPLACED BY LAB

TIME PERIOD: 2/5/01 - 2/9/01

REPAIR TECHNICIAN: Bob Smith

TV SET MODEL 1013

Integrated Circuits||||

Capacitors|||| |||| |||| |||| |||| ||

Resistors||

Transformers||||

Commands

CRT|

Check Sheet


Histogram

30

25

20

15

10

5

0

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17

Histogram

Frequency

Number of defects


Scatter diagram

Scatter Diagram

Number of Defects

Hours of Training


Control chart

Control Chart

24

21

18

15

Number of defects

12

9

6

3

2

4

6

8

10

12

14

16

Sample number


Cause effect diagram fishbone diagram

Measurement

Human

Machines

Out of adjustment

Poor supervision

Faulty testing equipment

Lack of concentration

Tooling problems

Incorrect specifications

Improper methods

Old / worn

Inadequate training

Quality

Problem

Inaccurate

temperature

control

Poor process design

Defective from vendor

Ineffective quality

management

Not to specifications

Dust and Dirt

Material-

handling problems

Deficiencies

in product design

Environment

Materials

Process

Cause & Effect Diagram (Fishbone Diagram)


Quality awards

Quality Awards

  • The Malcolm Baldrige National Quality Award (USA, since 1987)

    • www.quality.nist.gov

  • The Deming Prize (Japan, since 1951)

    • www.deming.org


Malcolm baldrige quality award criteria 2000

Malcolm Baldrige Quality Award: Criteria (2000)

1.0 Leadership (125 points)

2.0 Strategic Planning (85 points)

3.0 Customer and Market Focus (85 points)

4.0 Information and Analysis (85 points)

5.0 Human Resource Focus (85 Points)

6.0 Process Management (85 points)

7.0 Business Results (450 points)


Categories for the baldrige award

Categories for the Baldrige Award

  • Manufacturing companies or subsidiaries

  • Service companies or subsidiaries

  • Small businesses (less than 500 employees)

  • Health care organizations

  • Educational institutions


Iso 9000

ISO 9000

  • A set of international quality standards and guidelines agreed upon by the International Organization for Standardization (ISO)

  • Adopted in 1987

  • Recognized by more than 100 countries

  • ISO 9000 Certification for competitive advantage


Iso 9000 series

ISO 9000 Series

  • 9001

    • Model for Quality Assurance in Design, Production, Installation, and Servicing.

  • 9002

    • Model for Quality Assurance in Production and Installation

  • 9003

    • Model for Quality Assurance in Final Inspection Test


Iso 9000 series application areas

ISO 9000 SeriesApplication Areas

Production

Servicing

Procurement

Design/

Development

Installation

ISO9003

ISO9002

ISO9001


Iso 9000 certification

ISO 9000 Certification

  • required by many foreign firms

  • enhance global competitiveness

  • three Forms of Certification

    • First party: firm audits itself

    • Second party: customer audits supplier

    • Third party: audited by "qualified" agencies (ANSI, ASQC, RAB)


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